WEBVTT Kind: captions; Language: en 00:00:07.001 --> 00:00:14.001 numbers, numbers, numbers. It's hard to imagine modern day horse racing without 00:00:14.001 --> 00:00:18.000 all the numbers and without all the computers that have to crunch those numbers. 00:00:18.001 --> 00:00:22.000 Computers that calculate odds and payoffs. Indeed computers have had a major 00:00:22.000 --> 00:00:25.001 effect on all kinds of gambling, not just horse racing. Everything from 00:00:25.001 --> 00:00:29.001 computerized slot machines in Vegas to massive databases for professional 00:00:29.001 --> 00:00:33.000 gamblers. Today we take a look at computers and gambling on this 00:00:33.000 --> 00:00:35.000 edition of the Computer Chronicles. 00:00:58.001 --> 00:01:02.001 The Computer Chronicles is made possible by Leading Edge, makers of IBM 00:01:02.001 --> 00:01:06.000 compatible computer systems including word processing with spelling correction, 00:01:06.001 --> 00:01:12.000 communication software and Haze compatible 1200 and 2400 VOD modems. Leading Edge 00:01:12.000 --> 00:01:14.000 with over 1000 service centers nationwide. 00:01:14.001 --> 00:01:19.000 Leading Edge leading the way to the information age. Additional funding is 00:01:19.000 --> 00:01:23.000 provided by McGraw Hill, publishers of Byte. Byte's detailed technical articles 00:01:23.000 --> 00:01:26.000 on new hardware, software and languages cover developments in 00:01:26.000 --> 00:01:28.000 computer technology worldwide. 00:01:34.000 --> 00:01:37.000 Welcome to the Computer Chronicles. I'm Stuart Chiffay and 00:01:37.000 --> 00:01:38.001 with me this week is George Morrow. 00:01:38.001 --> 00:01:41.001 George got kind of interested down there at the racetrack so I got a daily racing 00:01:41.001 --> 00:01:45.000 from here and this little computer. I enter all the data here from the racing 00:01:45.000 --> 00:01:48.001 form into the computer and the computer predicts which horses are most likely to 00:01:48.001 --> 00:01:52.000 win the race. We'll see if it works. Seems to be using a computer to figure out 00:01:52.000 --> 00:01:55.000 which horse is going to win a race is really the same thing as using a computer 00:01:55.000 --> 00:01:57.000 to figure out say which stock is going to win on Wall Street. 00:01:57.000 --> 00:02:01.000 I think you're right Stuart. People that do this for a living that give you odds 00:02:01.000 --> 00:02:05.001 and horses are handicappers. People that do the same thing or advise you about 00:02:05.001 --> 00:02:10.001 stocks. I think they admit to handicapping a stock. So here computers are helping 00:02:10.001 --> 00:02:13.000 you form judgments. They're an analytical tool. 00:02:13.001 --> 00:02:17.001 There's another aspect of gambling which is the chance part of it and there in 00:02:17.001 --> 00:02:20.001 games of pure chance I think computers are being used to help you entertain 00:02:20.001 --> 00:02:23.001 yourself as you put your money in these machines. George we're going to see both 00:02:23.001 --> 00:02:26.001 those examples in fact on the program. We're going to start out by taking a trip 00:02:26.001 --> 00:02:30.001 to Reno, Nevada to see how computers have revolutionized the casino business. 00:02:33.000 --> 00:02:38.001 Enormous casinos with extravagant neon displays. Stacks of cards and chips on 00:02:38.001 --> 00:02:44.001 green felt tables and clanging slot machines. These are the traditional symbols 00:02:44.001 --> 00:02:50.000 of gambling but in America's casino capitals poker chips are increasingly sharing 00:02:50.000 --> 00:02:55.000 the floor with microchips especially in the slot machines. Yeah the poker machine 00:02:55.000 --> 00:03:00.000 is a prime example of that which for all intents and purposes didn't even exist 00:03:00.000 --> 00:03:05.001 ten years ago and it's approximately 34 to 36 percent of the Nevada market today. 00:03:06.001 --> 00:03:11.001 At the International Gaming Technology Corporation in Reno, Nevada slot machines 00:03:11.001 --> 00:03:16.000 have little in common with their clanking mechanical ancestors. These slots are 00:03:16.000 --> 00:03:21.001 sophisticated PCs controlled by an Intel microprocessor and they feature special 00:03:21.001 --> 00:03:28.000 graphics and sound chips. They're even designed by computer. Putting a coin in 00:03:28.000 --> 00:03:32.000 the slot is almost like booting up. Basically when you put your money in the 00:03:32.000 --> 00:03:37.000 machine and let's take the example of a slot machine and you pull a handle at 00:03:37.000 --> 00:03:42.001 that point in time the microcomputer is programmed to pick a random number 00:03:42.001 --> 00:03:48.000 actually computer random number using a 32-bit random number generator. It will 00:03:48.000 --> 00:03:54.000 then take that 32-bit number and it will basically divide it down to a number 00:03:54.000 --> 00:03:59.000 which is within the range of the number of symbols on the real strips in the 00:03:59.000 --> 00:04:02.001 machine and it will determine what the outcome of the game is to be. 00:04:02.001 --> 00:04:08.000 Since the game's outcome is determined electronically the spinning reels are 00:04:08.000 --> 00:04:12.001 included just to preserve the traditional external appearance of the game an 00:04:12.001 --> 00:04:17.000 aspect of great importance to casino operators. In some cases the electronics 00:04:17.000 --> 00:04:24.000 scare them away to be specific if we have a real machine simulated 00:04:24.000 --> 00:04:29.000 on a video device and we have all kinds of animation and I think you may have 00:04:29.000 --> 00:04:34.000 seen some examples of that that didn't necessarily turn on the slot player it 00:04:34.000 --> 00:04:40.001 just was too much of a computer screen is our impression whereas in a poker game 00:04:40.001 --> 00:04:47.001 it's the same technology involved but they love that. Concealed 00:04:47.001 --> 00:04:52.001 within the friendly interface is a high level of electronic security such as 00:04:52.001 --> 00:04:57.000 optical readers that can tell if a coin is being dropped in or pulled out of the 00:04:57.000 --> 00:05:02.000 slot and sensors that detect if a door is open or if someone has tampered with 00:05:02.000 --> 00:05:07.000 the reels. Slot machines are tied into a local area network that transmits any 00:05:07.000 --> 00:05:12.000 discrepancies to the central computer room specifying the kind of fault and the 00:05:12.000 --> 00:05:18.000 machine's number. At the Harris Casino in Reno a game called Megabucks uses the 00:05:18.000 --> 00:05:22.001 latest in fiber optics and even satellite transmission to tie hundreds of 00:05:22.001 --> 00:05:28.000 machines together to a central jackpot computer as each coin drops the amount of 00:05:28.000 --> 00:05:33.000 the bet is transferred by fiber optic cable to the casinos computer center the 00:05:33.000 --> 00:05:38.001 mainframe recalculates and transmits the new jackpot to an LED display on the 00:05:38.001 --> 00:05:44.000 casino floor the same system operates between casinos around the state over a 00:05:44.000 --> 00:05:49.000 satellite link. Kino is another game that has been radically changed by computer 00:05:49.000 --> 00:05:54.001 processing while paper tickets are still written out by the player all data entry 00:05:54.001 --> 00:05:59.001 number reading and bet tabulation are done by computer which can process the 00:05:59.001 --> 00:06:06.000 results of the game in about 22 seconds. Harris machines are equipped with more 00:06:06.000 --> 00:06:10.001 than coin slots the new generation of one armed bandits is more like the 00:06:10.001 --> 00:06:15.001 automatic teller machine at a bank with some important differences you can't make 00:06:15.001 --> 00:06:21.000 withdrawals or deposits but the casino will issue personal identification cards 00:06:21.000 --> 00:06:23.000 to any interested customer. 00:06:35.001 --> 00:06:39.000 Joining us in the studio now is Robin Kabi. Robin's president of Computer Sports 00:06:39.000 --> 00:06:43.001 World and next to Robin is Roxy Roxborough. Roxy's an odds maker from Las Vegas 00:06:43.001 --> 00:06:47.000 and generally considered to be the top odds maker in the country. George. Robin, 00:06:48.001 --> 00:06:52.000 Computer Sports World is a database of sports statistics it's owned by the 00:06:52.000 --> 00:06:57.000 Chronicle. How does that work together? Well many newspapers in the last several 00:06:57.000 --> 00:07:01.001 years have wanted to get involved in new forms of communication and communication 00:07:01.001 --> 00:07:05.001 database services and Computer Sports World was one of those companies that was 00:07:05.001 --> 00:07:10.000 out there that was in a good market it was a good concept and it was something 00:07:10.000 --> 00:07:14.000 that the Chronicle was very interested in pursuing. This is almost a unique 00:07:14.000 --> 00:07:18.001 database. Is anybody else off or anything like this? Not exactly like this. We're 00:07:18.001 --> 00:07:22.000 an online database which means that if you have a computer and a modem or a 00:07:22.000 --> 00:07:26.001 communicating terminal you can sign on to us making a local phone call 24 hours a 00:07:26.001 --> 00:07:32.001 day. And Roxy you use this database. Yes it's an instrumental part of making the 00:07:32.001 --> 00:07:37.001 odds. What's your opinion of it? Well I think it's fantastic because it takes a 00:07:37.001 --> 00:07:41.001 lot of time away that I used to have to spend doing handwritten notes and keeping 00:07:41.001 --> 00:07:45.000 a lot of statistics. So it keeps track of everything that you need to know to 00:07:45.000 --> 00:07:48.000 make odds. Right and it files and organizes everything. Were you able in fact 00:07:48.000 --> 00:07:50.001 before you had computers and databases like this keep track of I mean the 00:07:50.001 --> 00:07:56.001 incredible volume of stats and numbers to make odds? Well we did we made do but 00:07:56.001 --> 00:08:00.000 we do a much better job now. So you feel that you're a lot more accurate having 00:08:00.000 --> 00:08:03.001 this database? Much more accurate and you know you have to remember the gamblers 00:08:03.001 --> 00:08:07.000 have this database too so that's one of the reasons we need to keep on top of it. 00:08:07.001 --> 00:08:10.000 Are you aware of people in the gambling business that 00:08:10.000 --> 00:08:11.001 use it as extensively as you do? 00:08:12.001 --> 00:08:17.000 Yes there are there are players gamblers that use it. Robin let's take a look at 00:08:17.000 --> 00:08:19.001 the system now and show us the kinds of things you can get out of this database. 00:08:19.001 --> 00:08:23.000 We're online right now to your service right? Right the first thing we're gonna 00:08:23.000 --> 00:08:27.000 want to do is right now we're looking at it live so we're watching the 00:08:27.000 --> 00:08:32.000 information come right in. The first thing is Scropper would say it's very easy 00:08:32.000 --> 00:08:37.001 to use you get you only go in by entering three-digit codes and you'll get a menu 00:08:37.001 --> 00:08:40.001 that looks like this that'll lead you to that. Right now we're looking at 00:08:40.001 --> 00:08:44.000 information coming in live if I'd like to look if I want to look at a matchup for 00:08:44.000 --> 00:08:47.001 example which is a file that Roxy uses quite a bit I type in three digits it 00:08:47.001 --> 00:08:51.001 immediately comes up. So you can go anywhere? This is an NCAA basketball matchup 00:08:51.001 --> 00:08:54.001 yes three digits. What do you get from that Roxy? Well here we have Georgia Tech 00:08:54.001 --> 00:08:58.000 at DePaul I see right away that DePaul's 13 and 0 at home that means they're 00:08:58.000 --> 00:09:01.000 unbeaten on their home court that's gonna make them a pretty good favorite even 00:09:01.000 --> 00:09:05.000 over a good ACC team like Georgia Tech. I can see that Georgia Tech's only six 00:09:05.000 --> 00:09:09.000 and six on the road it also shows me all their spread records and it shows me the 00:09:09.000 --> 00:09:12.001 last five games that each team's played. Okay so you can get home field advantage 00:09:12.001 --> 00:09:17.000 all that kind of stuff what about an NBA basketball show us an example there 00:09:17.000 --> 00:09:22.000 Robin. Well we got box score we could take a look at after each game is over we 00:09:22.000 --> 00:09:25.000 go over the box scores to make sure that all the key players were both teams 00:09:25.000 --> 00:09:29.001 played here's a game where San Antonio played Dallas last night. Now San 00:09:29.001 --> 00:09:32.001 Antonio's players are coming across right here where all their starters played 00:09:32.001 --> 00:09:39.000 and their major reserves and then we'll check Dallas. This is something you would 00:09:39.000 --> 00:09:42.000 do every day. Yes after each game is over. What does this show you? Well right 00:09:42.000 --> 00:09:46.000 now I see where Dallas is star point guard Derek Harper didn't play in fact he 00:09:46.000 --> 00:09:50.001 wasn't even a reserve so I'll have to find out why. Beautiful presentations. Okay 00:09:50.001 --> 00:09:53.001 and how do you do that what are you doing Robin? We go right to the injuries 00:09:53.001 --> 00:09:55.000 three one four the injuries from the NBA. Okay so you've got a special injury 00:09:55.000 --> 00:09:59.000 database. Right and then we'll check up to see if they have any reason maybe 00:09:59.000 --> 00:10:05.000 Harper didn't play last night for Dallas. Okay so let's get to Dallas. What's it 00:10:05.000 --> 00:10:09.000 tell you? Well it says that Harper's got an infected toe and also reserve guard 00:10:09.000 --> 00:10:12.001 Al Woods got a strained left shoulder. They both miss Friday's game they're 00:10:12.001 --> 00:10:16.000 expected to see limited action if any on Saturday so I know that when they play 00:10:16.000 --> 00:10:19.000 Golden State tonight I'll have to make some slight adjustment in the line. Okay 00:10:19.000 --> 00:10:23.000 what about baseball Robin that's a statistics crazy game what can you show us on 00:10:23.000 --> 00:10:28.000 baseball? Baseball let me show you the index of our baseball statistics. This is 00:10:28.000 --> 00:10:34.000 where we really have a lot of statistics baseball being so statistical and we do 00:10:34.000 --> 00:10:35.001 go back several years. Look at that yeah. 00:10:36.001 --> 00:10:39.001 So you can see how left-handed pitchers do versus right-handers how you do on 00:10:39.001 --> 00:10:45.000 AstroTurf versus grass how pitchers do after so many days off it's all there. And 00:10:45.000 --> 00:10:48.000 it's very easy to get that too. Yes three digits in here there. And Roxy you 00:10:48.000 --> 00:10:51.000 would use a lot of stuff and put your line on a baseball game? I use a lot of it. 00:10:51.000 --> 00:10:54.001 The keys are how teams do against righties and lefties and day night performance. 00:10:55.000 --> 00:10:57.000 Okay can you tell us who's going to win the pennant this year Robin? 00:10:57.000 --> 00:11:01.000 Uh we do have the odds on that we're probably one of the first up there Roxy 00:11:01.000 --> 00:11:04.001 provides that with us. Well if you're in New York or you'll probably be happy 00:11:04.001 --> 00:11:08.000 because we've got both New York teams favorite the Mets to repeat and win the 00:11:08.000 --> 00:11:11.000 National League there's seven to five favorites and the Yankees to be the 00:11:11.000 --> 00:11:14.001 American League champions are seven to two favorites. Roxy there's lots of 00:11:14.001 --> 00:11:17.001 different sports that people gamble on obviously I was wondering any particular 00:11:17.001 --> 00:11:20.001 sport in which the computer is really a big advantage? Yes it's the biggest 00:11:20.001 --> 00:11:25.000 advantage in college basketball because we have to chart and track 162 teams. 00:11:25.001 --> 00:11:29.000 There's thousands of variables there's injuries to chart for every team there's 00:11:29.000 --> 00:11:32.000 just so much that without this service it would be almost impossible. Huge 00:11:32.000 --> 00:11:35.001 database then. Yes. I guess Robin as you said you're the Dow Jones or the sports 00:11:35.001 --> 00:11:38.001 world. The sports world right. Robin Roxy thank you very much. As we saw at the 00:11:38.001 --> 00:11:42.000 beginning of the program horse racing depends very much on computers for its 00:11:42.000 --> 00:11:45.001 betting system and one of the newest and most modern computerized betting systems 00:11:45.001 --> 00:11:48.000 is here at Golden Gate Fields in the San Francisco Bay 00:11:48.000 --> 00:11:49.001 area. Wendy Woods has that report. 00:11:59.000 --> 00:12:03.000 While certain traditions at the track will never fall under the spell of 00:12:03.000 --> 00:12:08.000 technology the business of racetrack betting has it many fields been automated to 00:12:08.000 --> 00:12:13.000 a level as sophisticated as the nation's election system. Unlike the old days of 00:12:13.000 --> 00:12:18.001 just a few years ago relay systems and tallying by individual clerks have been 00:12:18.001 --> 00:12:23.001 replaced by massive computerized betting systems. Here at Golden Gate Fields in 00:12:23.001 --> 00:12:28.001 Albany California the odds the race results are up to three million dollars in 00:12:28.001 --> 00:12:33.001 bets placed daily pass through seven continuously operating phone lines to the 00:12:33.001 --> 00:12:39.000 brains of the operation a mainframe at the nearby Bay Meadows racetrack. Better's 00:12:39.000 --> 00:12:43.001 can still go face to face with humans for their wagers but the clerks all use 00:12:43.001 --> 00:12:48.001 terminals linked up to the system. The more adventurous better can use a self 00:12:48.001 --> 00:12:54.001 serve betting machine or the newest touch screen terminals. They bet and collect 00:12:54.001 --> 00:13:00.001 with vouchers that can be used for the entire day of winning or losing. Even the 00:13:00.001 --> 00:13:05.000 tote board on the track is controlled and automatically updated by this one 00:13:05.000 --> 00:13:10.001 computer system. Marty Miller of Amto is the brains behind the operation. It's 00:13:10.001 --> 00:13:15.001 actually very simple because we have access to the computer at Bay Meadows and I 00:13:15.001 --> 00:13:19.001 can go back to just any window in a plant here and tell them exactly where they 00:13:19.001 --> 00:13:23.000 stand with their wagers how many tickets they've sold what they have done in 00:13:23.000 --> 00:13:28.000 their last four transactions. Sometimes they forget where they are we can help 00:13:28.000 --> 00:13:33.000 them balance out. He adds computerized betting is not only efficient it's honest. 00:13:33.001 --> 00:13:37.000 Pointing to a year is every penny that we've ever handled in mutual handle has 00:13:37.000 --> 00:13:44.000 been accounted for. We know exactly what each clerk sells. We know exactly on the 00:13:44.000 --> 00:13:48.000 old system what they cashed. They would balance the penny. We would count the 00:13:48.000 --> 00:13:52.000 tickets, what the payoffs were, how much the state got. Every penny. Every penny 00:13:52.000 --> 00:13:56.000 has been accounted for over the years. Things haven't always gone this smoothly 00:13:56.000 --> 00:14:00.000 on the day that new cards were issued for the machines. The system crashed. 00:14:01.000 --> 00:14:05.000 Golden Gate fields officials soothed tempers by issuing free rain checks for a 00:14:05.000 --> 00:14:10.000 day that the computers were back up. Amto's computerized betting systems are 00:14:10.000 --> 00:14:14.001 installed in thousands of racetracks worldwide and that's a pretty good track 00:14:14.001 --> 00:14:19.000 record in Albany, California for the computer Chronicles. I'm Wendy Woods. 00:14:30.001 --> 00:14:34.001 With us in the studio now is Bob Archer president of PDS Software of Torrance, 00:14:34.001 --> 00:14:38.001 California. Next to Bob is Professor Michael Orkin co-founder of Best Bet 00:14:38.001 --> 00:14:45.001 Software. George. Mike, Roxy is a really good skilled odds maker and he seems 00:14:45.001 --> 00:14:49.001 to have an edge by looking at the data and understanding where he can get access 00:14:49.001 --> 00:14:53.000 to it but he doesn't seem to be using computers and doing any 00:14:53.000 --> 00:14:55.000 analysis. Can you comment on that? 00:14:55.000 --> 00:14:59.001 Well if he had a program that picked the lines and there was a bias in it, the 00:14:59.001 --> 00:15:03.000 betters would pick up on it, any slight bias and they would start betting 00:15:03.000 --> 00:15:08.000 accordingly and as a result he'd get locked into a system that would cause 00:15:08.000 --> 00:15:09.001 the book makers to lose. 00:15:10.001 --> 00:15:15.001 But couldn't he use a program to keep track of that and to modify that and to 00:15:15.001 --> 00:15:17.001 actually become a better odds maker? 00:15:17.001 --> 00:15:23.000 Well I'm sure he uses computers to keep up with data but if he had a program that 00:15:23.000 --> 00:15:28.000 actually picked the line he would have to keep modifying it because if there were 00:15:28.000 --> 00:15:30.001 any biases and maybe some would occur from time to time. 00:15:31.000 --> 00:15:34.000 But when he picks a line he's going through analysis. 00:15:35.001 --> 00:15:39.001 That's right but it's a very dynamic process and he has to keep up with what's 00:15:39.001 --> 00:15:43.000 going on and there's so many factors that for him to get locked into a program 00:15:43.000 --> 00:15:45.000 would be very dangerous. 00:15:45.000 --> 00:15:48.000 Right now he's doing better by staying away from a program. 00:15:48.001 --> 00:15:51.000 Right, he's doing better by staying away from a program that actually picks the 00:15:51.000 --> 00:15:53.001 line. However he's relying on computers to 00:15:53.001 --> 00:15:55.001 provide him with all of the data that he needs. 00:15:55.001 --> 00:15:59.000 Bob, you're handicapping horses now. Is that also a little bit subjective or 00:15:59.000 --> 00:16:00.001 can you really reduce that to statistics? 00:16:01.000 --> 00:16:07.001 No, it would always be subjective. The computer is an instrument whereby the user 00:16:07.001 --> 00:16:12.001 would be able to manipulate all the data to where he wants it so that he has it 00:16:12.001 --> 00:16:15.000 all in one mode to where he can use it to. 00:16:15.000 --> 00:16:17.000 You're actually making his selection from it. 00:16:17.000 --> 00:16:20.000 Show us what you would do with your software here in handicapping a race, Bob. 00:16:20.001 --> 00:16:26.000 Well, basically our program would work under a principle of entering the data 00:16:26.000 --> 00:16:31.000 from the racing form for each particular horse in this particular race today. 00:16:31.000 --> 00:16:32.000 So what kind of variables do you have there? 00:16:32.000 --> 00:16:38.000 Basically we have three variables for the race itself and 00:16:38.000 --> 00:16:39.001 approximately 11 variables for the horse. 00:16:39.001 --> 00:16:43.001 First you enter the horse's name, his number of starts, let's say, are 12. He's 00:16:43.001 --> 00:16:48.000 got three wins. He's got a total earnings of $67,890. 00:16:49.000 --> 00:16:54.000 And he's been away from the racetrack for 23 days. He was second, let's say, in 00:16:54.000 --> 00:16:56.000 his last race, had his first call. 00:16:56.000 --> 00:16:57.001 Again, this is information you're pulling off the data race form. 00:16:57.001 --> 00:17:01.000 Right out of the racing form, that's correct. His track category, let's say he's 00:17:01.000 --> 00:17:03.001 racing at Santa Anita, his track category would be number one. 00:17:03.001 --> 00:17:07.001 The distance in his furlongs, he went a mile, so it's going to be eight furlongs. 00:17:08.000 --> 00:17:11.001 His speed rating of his best race of the last three was 90, 00:17:12.000 --> 00:17:13.001 with a track variant of 12. 00:17:14.001 --> 00:17:18.001 He had a top 10 jockey on his back and his trainer rating was a 12.33. 00:17:19.001 --> 00:17:21.001 Okay. Now, we've now entered profiles for three different 00:17:21.001 --> 00:17:23.001 horses. Let's pretend it's a three horse race now. 00:17:24.000 --> 00:17:25.001 Can you go in and analyze these three horses now? 00:17:25.001 --> 00:17:31.001 Yes. We would, at this point, come up with the next screen. We'd enter zero, and 00:17:31.001 --> 00:17:35.000 it's going to calculate and put all three horses in their proper order. 00:17:35.000 --> 00:17:37.001 And you've got a power rating suggesting that Bosto is most 00:17:37.001 --> 00:17:39.000 likely to win the race among these two horses. 00:17:39.001 --> 00:17:45.000 Bosto, that is correct. Bosto is the favorite here. He has a power rating 00:17:45.000 --> 00:17:46.001 exceeding 12 points. 00:17:47.000 --> 00:17:51.000 We're looking for a three and a half point spread between the first horse and the 00:17:51.000 --> 00:17:53.001 second horse in order to have what we call a playable race. 00:17:53.001 --> 00:17:54.000 I see. 00:17:54.001 --> 00:17:57.001 It's subject to the handicapper's own personal biases at that point. 00:17:58.000 --> 00:18:00.000 Bob, what exactly is the software doing? How 00:18:00.000 --> 00:18:01.001 is it coming up with that rating for those horses? 00:18:02.000 --> 00:18:08.001 It is comparing the input of all the data on each individual item to a 00:18:08.001 --> 00:18:12.000 predetermined set of standards that it has to compare against. 00:18:12.001 --> 00:18:13.000 With a weighting factor? 00:18:13.000 --> 00:18:17.000 With a weighting factor to each one of them that then comes up and compares all 00:18:17.000 --> 00:18:18.001 10 of them horses against each other. 00:18:18.001 --> 00:18:22.000 Okay, Bob, if I can ask you to pass the keyboard over to Mike now. Mike, you've 00:18:22.000 --> 00:18:25.001 got a program that helps guide betting on football, not the horses, right? 00:18:25.001 --> 00:18:26.000 Right. 00:18:26.000 --> 00:18:27.000 And what does the software do? 00:18:27.001 --> 00:18:33.001 The software has every NFL game since 1979, and it provides its self-contained 00:18:33.001 --> 00:18:38.000 database that comes on one floppy disk, and it allows the person interested in 00:18:38.000 --> 00:18:42.000 football to ask questions about how teams have done in various situations. 00:18:42.000 --> 00:18:43.001 Show us the kinds of questions you'd ask it. 00:18:43.001 --> 00:18:48.001 Well, I've entered on the program now a look at all New York Giants games since 00:18:48.001 --> 00:18:52.001 1983, in which they lost the week before and played on the road the week before. 00:18:52.001 --> 00:18:54.000 And a better one might actually ask that question. 00:18:54.001 --> 00:18:57.000 Yes. This week the Giants might be playing at home. They lost last 00:18:57.000 --> 00:18:59.000 week. Maybe they really want to win. 00:18:59.001 --> 00:19:03.000 Notice they've won at the top and the left. They've won against a spread 00:19:03.000 --> 00:19:05.000 66.7% of the time. 00:19:05.000 --> 00:19:10.001 At the bottom they've won at home against a spread 61% of the time away against a 00:19:10.001 --> 00:19:12.001 spread two out of two games. 00:19:12.001 --> 00:19:16.001 You can also get a list of the games and see exactly what games were played under 00:19:16.001 --> 00:19:19.000 those conditions, what the spread was, 00:19:19.000 --> 00:19:20.001 whether they won or lost against the spread. 00:19:21.000 --> 00:19:23.000 Okay, Mike, things like, I suppose I had a question about 00:19:23.000 --> 00:19:24.001 what's the home field advantage on a Monday night game, right? 00:19:24.001 --> 00:19:30.000 Okay, you can look at day of the week. In fact, let's go down and do that and 00:19:30.000 --> 00:19:32.001 just look at all Monday night games since 1983. 00:19:33.001 --> 00:19:38.000 So day of the week is down there. I'll do. And in this case, the stats will come 00:19:38.000 --> 00:19:41.000 up just for the home team straight up and versus the [...] 00:19:41.000 --> 00:19:42.001 Is there a question for better? 00:19:42.001 --> 00:19:45.001 Well, it's one of the many things that a better wants to know about when 00:19:45.001 --> 00:19:47.001 trying to decide what team to pick. 00:19:47.001 --> 00:19:48.000 What's the program tell you? 00:19:48.001 --> 00:19:52.001 Well, that on Monday night the home team has beat the spread 59.4 00:19:52.001 --> 00:19:54.000 % of the time since 1983. 00:19:54.001 --> 00:19:55.001 So they got a little bit of an inch? 00:19:56.000 --> 00:19:58.001 Well, they have a little bit of knowledge there that they might put in with some 00:19:58.001 --> 00:20:00.000 other stuff that they'll also find on this database. 00:20:01.000 --> 00:20:04.000 Mike, how much of an advantage is it really for a better to have a piece 00:20:04.000 --> 00:20:05.001 of software like this and this kind of information? 00:20:05.001 --> 00:20:09.000 Well, it enables the better to answer a question in a couple of seconds. It might 00:20:09.000 --> 00:20:11.001 take them a few hours to do by hand or maybe 00:20:11.001 --> 00:20:13.000 not even to be able to answer at all. 00:20:13.001 --> 00:20:15.001 So his edge here is he's got a lot of data altogether. 00:20:16.000 --> 00:20:16.000 Right. 00:20:17.000 --> 00:20:20.000 Mike, Bob, thank you very much. Now, one of the most popular forms of gambling in 00:20:20.000 --> 00:20:22.000 this country is betting on state lotteries. 00:20:22.001 --> 00:20:25.000 One of the oldest and most sophisticated state lotteries is the one in 00:20:25.000 --> 00:20:27.001 Pennsylvania, where they use computers quite a bit. 00:20:28.001 --> 00:20:31.000 The Pennsylvania Lottery. 00:20:31.001 --> 00:20:35.001 Each year Pennsylvania sells more than a billion dollars in lottery tickets. 00:20:36.000 --> 00:20:40.000 And when the jackpot gets big enough, that can mean a sales volume of up to one 00:20:40.000 --> 00:20:42.000 million transactions an hour. 00:20:42.001 --> 00:20:44.001 None of this would be possible without computers. 00:20:45.000 --> 00:20:49.000 And indeed the Pennsylvania Lottery has a massive investment in computers. 00:20:50.000 --> 00:20:52.001 Retailers sell lottery numbers from online terminals. 00:20:52.001 --> 00:20:57.001 Computers recreate each day's games on a separate IBM backup system to 00:20:57.001 --> 00:20:59.000 ensure the integrity of the games. 00:20:59.001 --> 00:21:03.000 Computers are used to analyze sales, project jackpots and 00:21:03.000 --> 00:21:04.001 to monitor the actual betting. 00:21:05.001 --> 00:21:09.001 The Pennsylvania Lottery, in fact, runs one of the most complex computer networks 00:21:09.001 --> 00:21:13.000 with nearly 3000 terminals on a controlled data system. 00:21:13.000 --> 00:21:17.000 The system has 100 percent redundancy and a hot backup. 00:21:17.000 --> 00:21:20.000 So one rarely hears that the computer is down. 00:21:20.000 --> 00:21:25.001 In 10 years, and your viewers would be interested to know that our uptime is 99 00:21:25.001 --> 00:21:27.001 .98 percent. 00:21:28.000 --> 00:21:31.001 As close to perfection as you possibly could get with an online system. 00:21:32.000 --> 00:21:38.000 I don't remember a major downtime since 1977 when we first began. 00:21:38.001 --> 00:21:42.001 One of the primary functions of the computer system is to constantly monitor the 00:21:42.001 --> 00:21:46.000 lottery's payoff liability to make sure that no one can break the bank. 00:21:46.000 --> 00:21:51.000 On the big four game, which pays odds of 5000 to one, the computer makes sure 00:21:51.000 --> 00:21:54.000 that the state is never exposed to a liability in excess of 00:21:54.000 --> 00:21:55.001 5 million dollars per game. 00:21:56.000 --> 00:22:00.001 If it senses heavy betting on one particular number, in this case 1111, it sends 00:22:00.001 --> 00:22:03.001 out a warning and then cuts off betting on that number. 00:22:04.000 --> 00:22:08.000 Heavy betting on a particular number often occurs because lottery players tend to 00:22:08.000 --> 00:22:10.000 follow common patterns in picking numbers. 00:22:10.000 --> 00:22:15.001 For example, years ago when Pete Rose was with Philadelphia and he had his 00:22:15.001 --> 00:22:19.000 certain number of hits, they played that number. 00:22:19.000 --> 00:22:23.000 They played the Super Bowl score. They played the Jewish New 00:22:23.000 --> 00:22:25.000 Year. They played the Chinese New Year. 00:22:25.001 --> 00:22:29.001 While the computer system assures a random drawing every time, the law of 00:22:29.001 --> 00:22:31.000 averages takes a while to work. 00:22:31.001 --> 00:22:36.000 We've had over 3100 daily number drawings, pick three drawings, in 10 years. 00:22:36.000 --> 00:22:42.000 However, there are two or three dozen numbers that haven't come up out of 3100 00:22:42.000 --> 00:22:44.000 drawings and there are only a thousand numbers. 00:22:44.001 --> 00:22:47.000 The lottery's computers have many safeguards to 00:22:47.000 --> 00:22:48.001 protect against being broken into. 00:22:49.000 --> 00:22:54.000 Games are shut down exactly 168 seconds prior to the winning drawing so that 00:22:54.000 --> 00:22:56.000 all computer tapes can be removed. 00:22:56.000 --> 00:22:59.000 That way no one can enter a winning number after the drawing. 00:22:59.000 --> 00:23:04.000 And the computer experts here actually hire hackers and challenge them to try to 00:23:04.000 --> 00:23:08.000 break in so that they can spot any weaknesses which may exist in the system. 00:23:08.001 --> 00:23:12.001 Seven years ago, the Pennsylvania lottery did fall victim to a scandal, but 00:23:12.001 --> 00:23:14.000 it had nothing to do with the computers. 00:23:14.001 --> 00:23:18.000 Most of the balls which are used in the drawings were weighted so that only 00:23:18.000 --> 00:23:20.000 sixes would rise to the top. 00:23:20.000 --> 00:23:24.000 But a slow motion analysis of the drawing, coupled with detailed computer 00:23:24.000 --> 00:23:26.000 analysis, led investigators to the culprits. 00:23:26.000 --> 00:23:32.000 Offline processing showed exactly where these bets were coming from. 00:23:33.000 --> 00:23:36.001 We went to those retailers, found out who was sitting in the white Cadillac 00:23:36.001 --> 00:23:39.001 placing all those bets, and basically were able to 00:23:39.001 --> 00:23:41.001 convict on the computer evidence. 00:23:42.000 --> 00:23:45.000 But despite all the computers, when it comes to calculating the 00:23:45.000 --> 00:23:47.001 payoffs, no one trusts the computers. 00:23:48.000 --> 00:23:51.000 The numbers are crunched manually with a good old-fashioned desk 00:23:51.000 --> 00:23:53.001 calculator, some paper, and a pencil. 00:23:53.001 --> 00:23:56.000 When you're sitting alone in the middle of the night giving away millions of 00:23:56.000 --> 00:23:59.000 dollars, you have to be absolutely sure you're doing it perfectly. 00:24:00.000 --> 00:24:04.000 And that's our look at computers and gambling. We'll be back in just a minute 00:24:04.000 --> 00:24:05.001 with this week's Computer News. 00:24:16.001 --> 00:24:20.000 I'm Susan Shea, sitting in for Stuart Chafee in the Random Access File this week. 00:24:20.000 --> 00:24:24.000 NCR Corporation unveiled a new line of personal computers. 00:24:24.000 --> 00:24:29.001 NCR introduced two AT compatibles, one 286 machine and one 386 workstation. 00:24:30.000 --> 00:24:34.000 The machines are based on NCR's incremental workstation architecture, and 00:24:34.000 --> 00:24:35.001 they'll be available later this year. 00:24:36.001 --> 00:24:40.000 Hewlett Packard announced three new technical computers and said that the 930 and 00:24:40.000 --> 00:24:45.000 950 business computers announced in 1986 will finally ship this fall. 00:24:45.000 --> 00:24:49.000 All five of the computers are based on the technology of reduced instruction 00:24:49.000 --> 00:24:50.001 set computing, or RISC. 00:24:51.000 --> 00:24:54.000 Digital equipment and Cray research will soon introduce a new 00:24:54.000 --> 00:24:55.001 interface between their computers. 00:24:56.000 --> 00:25:00.001 The new product, a combination of digital hardware and Cray software, is part of 00:25:00.001 --> 00:25:03.001 an effort to speed up data transfer between the two companies' computers. 00:25:04.000 --> 00:25:08.000 Digital will market the interface in an effort to step up pressure on IBM in 00:25:08.000 --> 00:25:09.001 the scientific computing market. 00:25:10.001 --> 00:25:13.001 And now it's time for this week's Software Review, and here's Paul Schindler. 00:25:14.000 --> 00:25:19.001 You know, maybe I would be better at this if I'd had a computer when I was young. 00:25:20.000 --> 00:25:24.000 Well, to help your kids do better, here's some top-flight Macintosh educational 00:25:24.000 --> 00:25:28.000 software, KidsTime, a collection of five educational games. 00:25:29.000 --> 00:25:33.000 Now, first there's Connect the Dots. When you're done, the computer redraws it. 00:25:33.001 --> 00:25:37.001 Then there's A.B. Key, which takes advantage of the max sophisticated sound. 00:25:38.000 --> 00:25:40.000 It names the letters your child types. 00:25:41.000 --> 00:25:45.001 Match It is a matching game with logic. It starts with a robot puzzle. 00:25:46.000 --> 00:25:49.000 Each piece you get wrong, the computer pulls back out. 00:25:50.000 --> 00:25:52.001 KidsNotes will play a song and will also allow you to 00:25:52.001 --> 00:25:54.000 compose and record your own. 00:25:56.000 --> 00:26:00.000 Storywriter reads the story as you write it or all at once at the end. 00:26:00.000 --> 00:26:03.001 I saw [...] left with a human. 00:26:06.000 --> 00:26:10.001 KidsTime is world-class educational software for the Apple Macintosh, $50 from 00:26:10.001 --> 00:26:13.000 Great Wave Software in Stanford, California. 00:26:13.001 --> 00:26:15.001 For the Computer Chronicles, I'm Paul Schindler. 00:26:17.000 --> 00:26:20.000 News from the Spring Index in Atlanta has started to trickle in. 00:26:20.001 --> 00:26:24.001 Sharp plans to introduce two portables, one a clone of the PC-AT called the PC 00:26:24.001 --> 00:26:29.001 -7200, and the other the PC-4500 is compatible with the PC-XT. 00:26:30.000 --> 00:26:32.001 And Samsung will show off its new clones. 00:26:33.000 --> 00:26:36.001 The SAM-88T is designed to be XT compatible and the SAM-286 00:26:36.001 --> 00:26:38.001 is an AT compatible machine. 00:26:39.000 --> 00:26:43.000 Finally, Japanese companies are working on a new method of software distribution 00:26:43.000 --> 00:26:45.001 that is designed to eliminate software piracy. 00:26:46.000 --> 00:26:50.000 Called the Software Service System, the product is a box that attaches to 00:26:50.000 --> 00:26:52.001 existing computers or could be built into new computers. 00:26:52.001 --> 00:26:56.001 Software would not run on the computer until the box authorized it. 00:26:57.000 --> 00:27:00.001 Users would purchase a special card to activate the box and give credit for any 00:27:00.001 --> 00:27:02.000 software the user wanted to buy. 00:27:02.001 --> 00:27:06.000 Users would be encouraged to copy software but be prevented from using 00:27:06.000 --> 00:27:07.001 it without paying for it. 00:27:07.001 --> 00:27:09.001 And that's it for this week's Computer Chronicles. 00:27:13.001 --> 00:27:17.001 The Computer Chronicles is made possible by Leading Edge, makers of IBM 00:27:17.001 --> 00:27:21.000 -compatible computer systems, including word processing with spelling correction, 00:27:21.001 --> 00:27:25.001 communication software, and Haze-compatible 1200 and 2400 VOD modems. 00:27:26.000 --> 00:27:28.001 Leading Edge with over 1,000 service centers nationwide. 00:27:29.001 --> 00:27:32.000 Leading Edge, leading the way to the information age. 00:27:32.001 --> 00:27:35.001 Additional funding is provided by McGraw-Hill, publishers of Byte. 00:27:36.001 --> 00:27:40.000 Byte's detailed technical articles on new hardware, software, and languages cover 00:27:40.000 --> 00:27:42.001 developments in computer technology worldwide. 00:28:18.001 --> 00:28:21.001 www.mooji.org